TBS Shipping Services Inc.

| ·   | You      will prepay an amount of USD 1,625,000.00 on 19 March 2009      representing the instalment of USD  812,500.00, due on      21 September 2009, and the instalment of USD 812,500.00, due on      21 December 2009.  the next regular repayment instalment      will become due on 22 March 2010 as per the attached repayment      schedule. |
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| ·   | All      other banks granting loans to TBS International Group e.g. Bank of      America, The Royal Bank of Scotland, DVB Bank, Credit Suisse and AIG      Commercial Equipment Finance Borrowing have waived their financial      covenants – including the asset protection clause – required in their      respective loan documentation through 31 December      2009.  Please confirm this in writing to  us. |
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| Grainger      Maritime Corp |
|-----------------------------|
|                        |   |   |   |   | Currency: |   |
|                        |   |   |   |   | USD |   |
|                        |   |   |   |   |   |   |
| REPAYMENT      SCHEDULE     |
|                        |   |   |   |   |   |   |
| Installment:      quarterly |
|                        |   |   |   |   |   |   |
| No.                         | Due      Date | Interest | Installment | Total      amount | Outstanding |   |
|                        |   | 3.32600% |   |   |        9,790,000.00 |   |
|                        | 12/19/2008 |   |   |   |   |   |
| 1                           | 3/19/2009 |             81,046.86 |        1,625,000.00 |        1,706,046.86 |        8,125,000.00 |   |
| 2                           | 6/19/2009 |             69,039.93 |                        - |             69,039.93 |        8,125,000.00 |   |
| 3                           | 9/21/2009 |             70,540.80 |                        - |             70,540.80 |        8,125,000.00 |   |
| 4                           | 12/21/2009 |             66,289.50 |                        - |             66,289.50 |        8,125,000.00 |   |
| 5                           | 3/22/2010 |             66,269.50 |           812,500.00 |           878,769.50 |        7,312,500.00 |   |
| 6                           | 6/22/2010 |             62,135.94 |           812,500.00 |           874,635.94 |        6,500,000.00 |   |
| 7                           | 9/22/2010 |             55,231.94 |           812,500.00 |           867,731.94 |        5,687,500.00 |   |
| 8                           | 12/22/2010 |             47,802.03 |           812,500.00 |           860,302.03 |        4,875,000.00 |   |
| 9                           | 3/22/2011 |             40,523.44 |           812,500.00 |           853,023.44 |        4,082,500.00 |   |
| 10                          | 6/22/2011 |             34,519.97 |           812,500.00 |           847,019.97 |        3,250,000.00 |   |
| 11                          | 9/22/2011 |             27,615.97 |           812,500.00 |           840,115.97 |        2,437,500.00 |   |
| 12                          | 12/22/2011 |             20,486.95 |           812,500.00 |           832,986.95 |        1,625,000.00 |   |
| 13                          | 3/22/2011 |             13,657.90 |           812,500.00 |           826,157.90 |           812,500.00 |   |
| 14                          | 6/22/2011 |              6,903.99 |           812,500.00 |           819,403.99 |   |   |
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